[What is a Token? Sort of Token]

In Cryptocurrency, coin and token concepts are sometimes used interchangeably. This usage is not necessarily wrong, but can be misleading.

What is a Token? Sort of Token

Define

Token is an cryptocurrency issued during the ICO (Initial Coin Offering).

Since the ICO concept may be mistaken for a Coin release, some projects have switched to the ITO (Initial Token Offering)  concept in conjunction with the TGE (Token Generation Event) for a more accurate look.

Token is based on a coin platform. For example, the majority of today's tokens are released on the Ethereum platform based on the ERC-20 standard. Some other tokens are based on NEO, WAVES, STELLAR, and Bitcoin platforms.


Sort of Token

In terms of features, we can divide the tokens into two types:

- Ultility Token: Created to serve a project with specific goals and features. For example, the token for the Dock.io project has a paid feature; Binance's BNB token reduces transaction fees, ...

- Security Token: Is a stock type issued in the form of a token. You will receive dividends based on the number of shares you own in the project. Security token also allow you to vote or participate in deciding some of the project's work.

What is Coin?

Coin is a cryptocurrency that is released on a blockchain basis with basic features like smart contract, sending and receiving, mining, ... Coin is created to solve billing, security issues, finance, application development, etc.

Some typical coins: Bitcoin (BTC), Ethereum (ETH), NEO, Stellar (XLM), Cardano (ADA), ...

How to distinguish Token and Coin?

CoinMarketCap is a website that distinguishes between Token and Coin

[Why need a plan?]

- Having knowledge but not complying with the trading plan can NEVER be profitable.
- Why need a plan?

* Reason 1: consistency is very important in trading, as it honestly evaluates the success level of a trader. The trading plan will help us stay consistent with the goal. Read it every day and adhere to it.

* Reason 2: this is business and so business success must ALWAYS be planned.

- What does the trading plan need?

1. A trading system: the heart of the plan, must be thoroughly tested with past data (back test).
* Include the necessary information: time frame, conditions for opening and closing transactions, level of risk per transaction.

2. Transaction procedure: the core part of the plan
• When will you analyze the market, evaluate the transactions ?
• When will you actually monitor the market to carry out transactions ?
• When will you evaluate transactions in the day?

3. Your thoughts: The hardest part is leaving your emotions out of the transactions.
• Just look at THE CHART SHOWING WHAT, NOT WHAT I WANT TO SEE.
• DO NOT TRY TO TAKE BACK, FORGET THE LOSS TRANSACTIONS.
• DO NOT LOSE YOURSELF, TAKE LESSONS FROM A LOSS.

4. The shortcomings of the self: concealed weaknesses, do not like talking about it. This section will follow objectively to track yourself. For example:
• We tend to close transactions soon.
• Does not comply with the trading system principles.
• Does not comply with the money management principle.

5. Personal goals: make money, discipline training, mental training, training self confidence. The goal is to help us through difficult times.

6. Record your transaction : record the transaction and why you open the transaction.

The best way to execute a trading plan is when you are not in the trade. Build yourself a trading plan that will guide you in the market, and this is actually the most effective way to actively remove the loss transactions due to emotion.